LANSING, Mich., and
PHOENIX, Jan. 19, 2011 /PRNewswire/ -- Capitol Bancorp
Limited ("Capitol") today announced that its common stock will
begin trading and be available for quotation on the OTCQB.
The OTCQB is a market tier for OTC traded companies that are
registered and reporting with the Securities and Exchange
Commission. Capitol's securities are no longer eligible for
trading on the NYSE as a result of the widely-publicized economic
and banking crisis, often referred to as the "Great Recession,"
which has led to a challenging operating environment, resulting in
deteriorating performance and market value at Capitol over the past
few years.
Joseph D. Reid, Chairman and
Chief Executive Officer commented: "We expect our equity to
continue to be actively traded by and for our shareholders and we
are taking steps to facilitate the trading of our common stock on
the OTCQB. We will continue to operate and report as a public
company and do not believe that this development will affect our
ongoing efforts, including our previously announced comprehensive
capital strategy."
Capitol has been advised by OTC Markets Group Inc., which
operates the world's largest electronic marketplace for
broker-dealers to trade unlisted stocks, that its common stock is
immediately eligible for quotation on the OTCQB tier.
Investors can now view Level II Real Time stock quotes
for Capitol at http://www.otcmarkets.com. Capitol is
working with OTC Markets Group Inc., to obtain quotation
eligibility on the OTCQB for the 8.5% cumulative trust-preferred
securities issued by Capitol Trust I and the 10.5% trust-preferred
securities issued by Capitol Trust XII.
Capitol has been notified of a decision by NYSE Regulation, Inc.
("NYSE Regulation") to suspend trading in Capitol's common stock
(NYSE: CBC), the 8.5% cumulative trust-preferred securities issued
by Capitol Trust I (NYSE: CBC PA) and the 10.5% trust-preferred
securities issued by Capitol Trust XII (NYSE: CBC PB) prior
to the market opening on Thursday, January
27, 2011. This action was taken because Capitol has not
satisfied the New York Stock Exchange's ("NYSE") continued listing
standard requiring Capitol to maintain an average global market
capitalization of not less than $15
million over a consecutive 30 trading-day period.
Application to the Securities and Exchange Commission to
delist the above referenced securities is pending the completion of
applicable procedures, including Capitol's right to request a
review of this determination by a Committee of the Board of
Directors of the NYSE.
About Capitol Bancorp Limited
Capitol Bancorp Limited is a $4.2
billion national community banking company, with a network
of bank operations in 14 states. Founded in 1988,
Capitol Bancorp Limited has executive offices in Lansing, Michigan and Phoenix, Arizona.
About OTC Markets Group
OTC Markets Group Inc. operates the world's largest electronic
marketplace for broker-dealers to trade unlisted stocks. Its OTC
Link platform supports an open network of competing broker-dealers
that provide investors with the best prices in over 10,000 OTC
securities. In 2010, securities on OTC Link traded over
$144 billion in dollar volume, making
it the third largest U.S. equity trading venue after NASDAQ and the
NYSE. The wide spectrum of OTC-traded companies are categorized
into three tiers—OTCQX (the quality-controlled marketplace for
investor friendly companies), OTCQB (the U.S. reporting company
marketplace for development stage companies), and OTC Pink (the
speculative trading marketplace). This categorization enables
investors to identify the level and quality of information
companies provide. To learn more about the OTC Markets Group,
visit www.otcmarkets.com.
Cautionary Statement and Certain Risk Factors to
Consider
Certain information contained in the attached press release may
include "forward-looking statements." These
forward-looking statements relate to Capitol's plans for raising
capital, including transactions described in the attached press
release, the conditions necessary for closing on proposed capital
investments and the exchange offers for common shares, Capitol's
future growth and market position and the execution of its business
plans. There can be no assurance that Capitol will be
able to close on the transactions with investors and obtain
required capital, or that other actual results, performance or
achievements of Capitol will not differ materially from those
expressed or implied by forward-looking
statements. Factors that could cause actual events or
results to differ significantly from those described in the
forward-looking statements include, but are not limited to,
Capitol's ability to complete the transactions announced today and
other aspects of Capitol's recapitalization and recovery
plans. For details on these and other factors that could
affect expectations, see the cautionary language included under the
headings "Risk Factors" and "Management's Discussion and Analysis
of Financial Condition and Results of Operations" in Capitol's
Annual Report on Form 10-K for the year ended December 31, 2009, the Corporation's Quarterly
Report on Form 10-Q for the quarter ended September 30, 2010, and other filings with the
SEC.
SOURCE Capitol Bancorp Limited